Want the latest retirement plan adviser news and insights? Sign up for PLANADVISER newsletters.
Products April 16, 2009
State Street Launches Convertible Bond ETF
State Street Global Advisors (SSgA) introduced what it said is the first convertible bond exchange-traded fund (ETF) available to U.S. investors.
Reported by Alison Cooke
SSgA, the investment management arm of State Street Corporation, said the SPDR Barclays Capital Convertible Bond ETF began trading on the NYSE Arca today.
The ETF, which has an expense ratio of 40 basis points, seeks to track the price and yield performance of the Barclays Capital U.S. Convertible Bond >$500MM Index. Convertible bonds are bonds that can be exchanged, at the option of the holder, for a specific number of shares of the issuer’s preferred or common stock.
“As the first ETF to provide exposure to the benefits of convertible bonds, the SPDR Barclays Capital Convertible Bond ETF underscores our commitment to develop innovative ETFs for investors seeking precise access to all segments of the market,” said James Ross, senior managing director at State Street Global Advisors, in an announcement about the ETF’s launch.
« Principal Changes Fee Schedules for Some Fixed-Income Funds